* CHRONICLE - PENSIONERS CONVERGE HERE, DISCUSS ISSUES OF THEIR CHOICE * CHRONICLE - WHERE EVEN THE CHAT COLUMN PRODUCES GREAT DISCUSSIONS * CHRONICLE - WHERE THE MUSIC IS RISING IN CRESCENDO !

Thursday, September 24, 2015

CH Mahadevan

HOW THE INTERIM RELIEF
PAID BY LIC IS JUST A PITTANCE

In the past
10 days I have been in telephonic
contact with a number of pensioners to
have an idea of their having received
the payment of interim relief by
LIC as per the Supreme Court orders dt 7/5/2015 and 7/9/2015 to the pre-August
1997 retiree officers.

Based on the information received
from one ADM cadre retired officer who had retired in the maximum of scale on
31/1/1993, who had received a credit of an amount of Rs 17581/- to his Bank a/c,
presumably towards his interim relief amount paid by LIC,I tried to work out his
possible amounts of arrears under four different scenarios as tabulated below. The retired officer also
falls under the category of M C Jain who was given the relief (through a wrong
amount) as a result of the Supreme Court dismissal of SLP against the judgment
of the Jaipur Bench of Rajasthan High Court.I had factored the effect of the
said judgment in two of the scenarios. The amounts worked out under the
four scenarios are summarized in the following table:

ILLUSTRATION FOR AN
M C JAIN CATEGORY RETIREE OFFICER

Basic pension: Rs 2525 (Maximum)

Scenario

Methodology
of calculation

Total
arrears due upto 31/8/2015(Rs)

Interim
relief due (Rs)

Interim
relief received by the officer(Rs)

I

Faulty
method adopted by LIC

·Arrears calculated from 1/8/1997 by a simple merger
of DR upto 1/8/1997 with existing
Basic Pension;

From the above it is clear that what
LIC has paid as interim relief is not
only far less than the due amount in
terms of the impugned HC judgment but it is also not even 1% of the amount due as full
arrears.

Even under the scenarios II & III
which again will be faulty if adopted by LIC, the amount received by the retired
officer would constitute 5% & 4% respectively. Under all the scenarios II,III.IV the interim
relief received is far less than 20% and
hence there is no compliance of the Supreme Court Order dt 7/5/2015 by the LIC.
The arrears due of Rs 18.8 lks under the last scenario is the cumulative loss sustained by the
retiree-officer from 1/11/1993 till
August 2015.